The Indian stock market closed on a positive note on March 27, with benchmark indices rallying as financial stocks took the lead. The BSE Sensex gained 317.93 points, or 0.41%, to settle at 77,606.43, while the NSE Nifty 50 climbed 105.10 points, or 0.45%, to close at 23,591.95. The Bank Nifty also saw an uptick, ending 0.72% higher at 51,575.85. Meanwhile, the Nifty Midcap 100 index surged 0.37% to close at 51,839.40.
“Domestic indices maintained optimism throughout the day, driven by sustained foreign fund inflows and the purchase of blue-chip stocks. However, the 25% tariff on auto imports imposed by Trump has affected auto stocks and raised concerns within the pharma sector. Despite these challenges, the broader market demonstrated resilience, supported by expectations of double-digit earnings growth in FY26, driven by easing inflation and a downward trend in interest rates, which are anticipated to improve domestic fundamentals,” said Vinod Nair, Head of Research, Geojit Investments Limited.
Financial stocks
Renewed foreign inflows and optimism in the financial sector gave markets the much-needed momentum. Heavyweights like Bajaj Finserv, IndusInd Bank, and Hero MotoCorp emerged as the top gainers, driving the indices higher.
Auto and Pharma under pressure
While most sectors enjoyed gains, the auto and pharma indices lagged behind. Auto stocks took a hit after the US government announced a 25% tariff on imported vehicles starting April 2. Tata Motors, which has a significant presence in the US market through Jaguar Land Rover, saw selling pressure, leading to a sharp decline in its stock price. Auto component makers like Samvardhana Motherson and Sona BLW also struggled, slipping in intraday trading. Bharat Forge followed suit, closing lower for the day.
“The shift in FII stance, coupled with strength in banking and financial majors and rotational support from other heavyweights, is sustaining the positive sentiment. However, news related to US tariffs continues to trigger occasional volatility. Traders should look past the short-term choppiness during this consolidation phase and focus on selective stock opportunities,” said Ajit Mishra – SVP, Research, Religare Broking Ltd.
Sector watch: Who gained, Who lost?
Apart from auto and pharma, all other sectoral indices ended in the green. IT, banking, and infrastructure stocks saw strong buying interest. On the other hand, pharma stocks saw mild selling pressure, with Sun Pharma and a few others declining amid profit-booking.